Vietnam kicked off 2025 with a strong surge in foreign direct investment (FDI), reaching $4.33 billion in January—a 48.6% increase from the same period last year. Despite a slower start in new projects, additional investments and stake acquisitions skyrocketed, highlighting growing confidence from foreign investors.
South Korea emerged as the top investor, committing over $1.25 billion, a 13.4-fold jump compared to January 2024. Singapore followed closely with $1.24 billion, while Japan, mainland China, and Hong Kong rounded out the top five.
In terms of new projects, mainland China ranked first, accounting for 30.1% of all fresh investments. However, South Korea dominated in expanding existing projects (19%) and stake acquisitions (25.4%), signaling long-term commitments.
The manufacturing and processing sector remained the biggest magnet for foreign capital, securing $3.09 billion, nearly 71.3% of total FDI and doubling last year’s figure. In contrast, real estate investments dipped slightly to $1.09 billion, down 6.4%.
Among Vietnam’s provinces, Bac Ninh attracted the most investment, securing $1.39 billion—six times higher than last year. Dong Nai followed with $959 million (a 3.4-fold increase), while Hanoi pulled in $716.4 million, up 1.9%. Ho Chi Minh City remained the top destination for new projects, capital expansions, and stake acquisitions.
Vietnam’s FDI sector recorded a $3.2 billion trade surplus, helping offset a $1.97 billion deficit from domestic businesses. This contributed to an overall national trade surplus of $1.23 billion for the month.
The number of new projects was lower than in January 2024, mainly due to fewer large-scale investments and the impact of the New Year and Lunar New Year holidays. However, capital expansions surged by 509.6%, and stake acquisitions rose by 70.4%, compensating for the shortfall and driving overall FDI growth.
As of January 2025, Vietnam had over 42,000 active FDI projects, totaling $505.4 billion in registered capital, with $324 billion already disbursed.
With strong reinvestment trends and growing investor confidence, Vietnam continues to solidify its position as a key destination for global capital.
Prefabrication has revolutionized the construction industry, offering a faster, more cost-effective, and sustainable way to build. By manufacturing components off-site and assembling them on location, this method reduces construction time, waste, and costs. But while prefabrication offers numerous advantages, it also presents challenges that contractors must navigate. In this article, we’ll explore how prefabrication works, its benefits, potential drawbacks, and how contractors can optimize its use for maximum efficiency.